Is there such a thing as best car for COE renewal? Here’s another tip for you when considering renewal – one that you may not have considered or known about! The situation is different for each individual person so I’m not going to make sweeping statements about what’s best. Previously, we have already mentioned quite a few things to consider before paying the PQP to renew your car. So let’s go into what I’m trying to say here
Weekend & OPC Cars!
Are you the fortunate owner of one? This puts you in good position of COE renewal. Have you considered why? The situation you face is different in a few ways from those who own normal plate cars, and here are some of the differences:
Lower PARF Value
You think you are unlucky because your PARF is low? Actually, you are fortunate! At the beginning, you paid less because you received a rebate of some $17,000 for registering as an OPC car, so nothing to complain about when the PARF or scrap value is lower.
Second, you saved on bank interest rates as you paid overall less for the car, your loan amount was smaller and hence you paid less interest.
And now, where others with normal plates are having to forgo amounts from $6,000 (the low for most cars we see) and above for renewing the COE, OPC car owners forgo as little as $1k! Talk about an easy decision to make. Those whose larger cars like an Odyssey Absolute (PARF at ~$21,000) find it really hard to decide!
To calculate the true cost of yearly depreciation after COE renewal, you have to add the PARF to the COE value and divide it by the number of years you choose to renew. So having a low PARF means low depreciation cost after COE renewal!
You can check the cost, or value, of your car PARF here.
Normal Plate Happily After
And here is what many do not know. After COE renewal, you can drive a normal plate car (even if it was OPC before) for a simple $100 conversion fee payable to LTA.
So, all that savings, plus this benefit! Wow!
Don’t believe me? Let us do it for you!
Ok, so there is some other minor cost, like paying to change those red plates to black (about $70 inclusive of labour to cut the seal and new plate holders), and normal car road tax, but really minor compared to doing a conversion to normal before the COE was renewed!
So What Do I Do?
I can say, if you want to have low cost transport, go shop around for an OPC car, and aim to renew and convert! It’s also a very good time to test out the car, and if it is mechanically unsound, scrap it with little loss, and if not, good for you!
And if you are already the owner of an OPC car, contact us here to renew your COE PQP! We help with all the paperwork – PQP monitoring before payment, loan, COE PQP payment, road tax, insurance (more info here)- including showing you where you can change your plates!
Hassle free! Call us at 92782880! We are always glad to assist!